Income Tax 13 September 2026
ITAT Scraps Rs 1.13 Cr Transfer Pricing Adjustment Over Depreciation Issues
The Income Tax Appellate Tribunal (ITAT) has nullified a Rs 1.13 crore transfer pricing adjustment, citing inconsistent depreciation treatment in the taxpayer's filings. The move highlights stricter scrutiny of depreciation claims and may prompt other taxpayers to review similar adjustments to avoid disputes, reinforcing the need for accurate documentation in transfer pricing cases.
The Income Tax Appellate Tribunal (ITAT) has deleted a Rs 1.13 crore transfer pricing adjustment after finding the depreciation treatment inconsistent with the tax provisions. The decision underscores the tribunal’s focus on accurate depreciation claims in transfer pricing cases.
- Adjustment amount: Rs 1.13 crore
- Issue: Inconsistent depreciation treatment
- Outcome: Adjustment removed, flag raised for future compliance
For full details, see the [ITAT decision] (https://studycafe.in/itat-deletes-rs-1-13-crore-transfer-pricing-adjustment-flags-inconsistent-depreciation-treatment-426955.html).
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